Let's begin with these frugal footsteps...

Example: If you have a credit card that has a balance of $195.00 and that's your lowest amount owed to a creditor, list that first, then list the next lowest, progressing to the highest amount owed in debt.

1._____________ Debt #1 (lowest total amount owed)

2._____________ Debt #2 (second lowest total amount owed)

3._____________ Debt #3 (third lowest total amount owed)

4._____________ Debt #4 (fourth lowest total amount owed)

5._____________ Debt #5 (fifth lowest total amount owed)

6._____________ Debt #6 (sixth lowest total amount owed)

7._____________ Debt #7 (seventh lowest total amount owed)

8._____________ Debt #8 (eighth lowest total amount owed)

9._____________ Debt #9 (ninth lowest total amount owed)

10.____________ Debt #10 (tenth lowest total amount owed)

11.____________ Debt #11 (eleventh lowest total amount owed)

12.____________ Debt #12 (twelfth lowest total amount owed)

13.____________ Debt #13 (thirteenth lowest total amount owed)

14.____________ Debt #14 (fourteenth lowest total amount owed)

15.____________ (Highest Amount Owed- (Example:- mortgage)

If you do not have that many debts, use the blanks accordingly.

If you have more debts, simply focus on this sheet, and move down the list and create a new one as the other debts are eliminated.

You will begin with Debt #1

And Here's Why...

When you start with the lowest amount owed in debt, you can start the debt reduction and debt elimination process rapidly.

Once you pay off the lowest amount, that is one less debt on your plate. In addition, your freed-up money has just grown by the minimum payment you just eliminated...

Example: Let's say you your lowest debt is $500 and the minimum payment is $15 a month. You've identified your bare minimum and have found you have $300 of freed-up money to spare each month. Within less than two months that debt will be eliminated.

The leftover amount from that freed-up money will be applied to Debt #2. That will reduce the second debt, and your freed-up money just increased to $315 because the minimum payment from the last debt has been eliminated.

By the time Debt #2 is wiped out, your freed-up money has grown by the minimum payment of that debt. So let's say that minimum payment was $100 a month-- now your freed-up money has grown to $415 a month to apply to Debt #3... and so on.

This is the quickest and most powerful way to wipe out debt for good.

Does it take discipline? You could call it that, but more importantly is to make it a "mindset" and an "intention" to wipe out all debt.

Eventually you will be paying off your mortgage this way and eliminating all of your debt.